Everything You Need to Know About the Regulatory Changes to Maid Insurance

In July 2023, there were regulatory changes to the minimum amount of insurance coverage employers of Migrant Domestic Workers (MDW) are required to provide to their employees. Find out more about what this means for you as someone who employs a maid and what maid insurance plans are available to you.

Enya Rodrigues

by Enya Rodrigues on May 20, 2024

cleaning a sink

Maid insurance plays a crucial role in safeguarding the well-being and welfare of domestic helpers employed in Singapore. In mid 2023, the Ministry of Manpower (MOM) enhanced its regulations with regard to medical insurance for foreign employees. These changes were implemented to protect the well-being of both employers and employees while keeping up with the rising costs of medical treatments due to inflation.

Here are some of the changes to expect.

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Enhanced Medical Insurance Coverage

The biggest change to medical insurance regulations for all migrant workers, maids included, was the increase in medical coverage. The annual claim limit increased to a minimum of S$60,000, up from the previous S$15,000. This was implemented due to medical inflation and the rising costs of hospitalisation and medical expenses.

Employers are now also responsible for co-paying 25% of the amount above the first S$15,000. You would not have to pay out-of-pocket for any medical expenses that are less than S$15,000. This means that if your helper has a medical bill of $60,000, you will have to pay $$11,250 (25% of S$45,000). The remaining S$48,750 (75% of S$45,000) will be directly billed to your insurer.

This is in contrast to the previous system where employers had to pay the full medical bill upfront and then claim the covered amount (previously a minimum of only S$15,000 per year) from the insurer thereafter.

This change in regulation means that employers are better protected from large lump-sum payments for medical expenses. In 2021, a Filipino domestic helper fell critically ill due to severe blood poisoning, which resulted in over S$165,000 of medical costs. MOM’s goal with this regulation change is to prevent such unexpected medical emergencies from putting employers into financial duress or even forcing employers to take out expensive loans just to cover the necessary medical costs.

About 1,000 employers in 2022 faced medical bills outside of the old coverage limits. The new annual claim limit of S$60,000 covers 99% of all medical claims made for migrant domestic workers

2. Age-Differentiated Premiums

As of 1 July 2025, insurers will be required to offer lower premiums for maid insurance plans for maids who are below the age of 50. The majority of maids in Singapore are below the age of 50 years old and are hence less prone to injuries and illnesses. On the other hand, premiums are much higher for maids who are above the age of 50 as they are more likely to incur expensive medical expenses.

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Considerations for Employers

Employers should explore insurance options offered by various providers to find the most suitable coverage for their specific requirements.

Here are some good maid insurance options to consider if you are looking to review your coverage.

Examples of Comprehensive Maid Insurance Plans

MSIG MaidPlus Standard

Consider this maid insurance plan if you want generous medical coverage and above average benefits for employment/termination.


MSIG MaidPlus Standard


Pros

  • Benefits have above average limits
  • High employer liability coverage
  • Standard plan premiums cost below average

Cons

  • Doesn't offer 14-month plans
  • Classic and Premier plans don't stand out in cost
  • Doesn't offer high 3rd party liability coverage
More Details

Tiq Maid Insurance

Consider this maid insurance plan if you have a healthy maid that doesn't require copious amounts of medical coverage


Tiq Maid Insurance


Pros

  • Comprehensive benefits for wages compensation, levy reimbursement as well as termination and rehiring expenses
  • Medical expense reimbursement in case abuse by maid

Cons

  • No outpatient benefits
More Details

FWD Maid Insurance

Consider this maid insurance plan if you have a flexible budget and want a customisable policy


FWD Maid Insurance


Pros

  • Only insurer that directly pays MOM the S$5,000 security bond with no additional payment from the employer required
  • 100% refund if plan is cancelled within 3 months of purchase

Cons

  • Costs quickly stack up if add-on benefits are necessary
More Details

Conclusion

The changes to medical insurance requirements for migrant workers, as implemented by the Ministry of Manpower, are a significant step towards better protection and support for both employers and domestic helpers.

The enhanced medical insurance scheme, increased coverage limits, and direct billing to hospitals provide greater medical protection for maids in Singapore, as well as greater financial protection for employers who have to bear the cost of any medical treatments. Ultimately, these changes create a more equitable and caring environment for all parties involved.

If you are interested in exploring more maid insurance options, check out our results page of the best maid insurance plans in Singapore for more information.

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